i-law

Compliance Monitor

FCA vs the Tribunal?

Ongoing challenges at the Financial Conduct Authority with staffing/resources, investigation processes, disclosure issues and communications, boiled over in 2023 - with strong words being fired both ways between the Upper Tribunal and regulator. Neasa MacErlean reports on the clashes, as well as learnings for firms and individuals who could face investigation.
Online Published Date:  01 February 2024

What is Compliance anyway?

Ostensibly, the job is to implement and monitor procedures to meet regulatory requirements, as well as advise and assist those carrying them out - tasks which generate an endless array of challenges. Adam Samuel unpacks this responsible and multi-faceted role, with its sometimes "highly contradictory skills".
Online Published Date:  01 February 2024

Enforcement landscape shifts as FCA embraces early intervention

The regulator's pivot to a more holistic approach to ensuring industry compliance and its focus on early interventions is showing up in areas of increased activity, while fewer cases are being referred to Enforcement. James Tyler analyses the statistics and trends.
Online Published Date:  01 February 2024

Green light for sustainable investment labelling regime

To support environmental and social goals, consumers need to be able to invest their hard-earned cash with confidence that financial products 'do what they say on the tin'. As the FCA confirms its Sustainability Disclosure Requirements (SDR) and investment labels,Charlotte Hilland Daniel Hirschfield explore the regime and its impact on the investment management industry.
Online Published Date:  01 February 2024

Getting governance and culture right

Dysfunctional boards can make misguided decisions that lead to regulatory lapses, while defective cultures are a significant risk factor for conduct failures. Dilip Degamia outlines principles of good governance and healthy culture, as well as some dynamics that undermine them.
Online Published Date:  01 February 2024

Lack of intra-group outsourcing controls ensnares Equifax

Equifax UK assumed that its American parent's risk management procedures met its own regulatory obligations and neglected proper oversight of the processing of data on its behalf. When a breach occurred, this was compounded by chaotic communications to internal and external stakeholders, along with failures in complaint-handling. The firm was hit by hefty fines from both the financial regulator and the Information Commissioner, reports Denis O'Connor.
Online Published Date:  01 February 2024

Insider dealing arrests, as FCA collaborates with National Crime Agency

Three people were arrested in London and a fourth interviewed under caution as part of a "major operation" carried out jointly by the FCA and National Crime Agency.
Online Published Date:  16 February 2024

FCA surveys top 20 advisers over "poor practice" concerns on annual reviews

Financial advisers that charge for annual reviews on investment plans and other products are coming under the regulator's spotlight after it discovered "poor practice" among firms.
Online Published Date:  19 February 2024

GAP insurers agree to redesign product as FCA calls halt on sales

Insurers representing 80 per cent of the GAP market - which covers the capital cost of motor vehicles - have agreed amoratorium on salesafter the FCA raised repeated concerns about lack of product value for customers.
Online Published Date:  19 February 2024

LCF compliance officer banned for signing off promotions despite red flags

A compliance specialist who "recklessly" signed off hundreds of misleading promotions at London Capital & Finance has been banned for lacking integrity, and fined £31,800.
Online Published Date:  19 February 2024

Mohammed Zina sentenced to 22 months for fraud as older brother acquitted

Mohammed Zina, formerly an analyst in the Conflicts Resolution Group of Goldman Sachs, has beensentenced to 22 monthsin jail after a 12-week trial at Southwark Crown Court.
Online Published Date:  19 February 2024

CMCs warned over "excessive" fees and unclear communications

Claims Management Companies carrying out unregulated activity are being cautioned about "excessive fees" and the FCA's powers to cancel their Part 4A permissions if no regulated work is conducted in a 12-month period.
Online Published Date:  27 February 2024

Finfluencers target the young as promotions breaches continue to rise

Despite increasing its work on financial promotions - leading to the amendment or withdrawal of over 10,000 adverts or campaigns last year - the FCA is concerned about growing numbers of 'finfluencers' who are particularly focused on the young and on the debt market.
Online Published Date:  27 February 2024

FCA to speed up investigations and provide more updates on trimmed caseload

The regulator's enforcement armintends to process its work more quickly as part of a move to "focus on a streamlined portfolio of cases".
Online Published Date:  27 February 2024

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